Comments on: TTAC’s Deep Throat Explains GMAC’s ResCap Crisis

By: uscarguy

uscarguy — Thu, 08 May 2008 19:46:08 +0000

Anyone buying a foreign car should learn/remember in macro economics that your money is just headed overseas. The US is a capitalistic market, not a government subsidized one like other auto companies have the luxury of. So buy what brand you want but remember your kids may be speaking a second language in the US as we trade it away! As some buy foreign cars, foreign companies in other countries just buy up our US real estate and US companies in return. Think about it who bought Jag from Ford again, and how did the German’s get control of Chrysler? GM’s market share in the US today may be smaller than their Global Share, but their growth globally is expanding rapidly. I would not count them out yet.

By: Whuffo

Whuffo — Wed, 07 May 2008 00:53:27 +0000

Something that the car manufactures may have missed was the little fact that those booming sales a few years back saturated the market. People are still paying those 2 and 3 year old cars off; they’re not ready to buy another one right away.

Personally, I’ve got 4 right now; a Pacifica, a Jetta, and two Fieros. Say what you want about Chrysler; the Pacifica is almost 4 years old now and hasn’t given any problems at all. The Fieros; well, there’s been a lot of tales told but even after 23 years they’re still running and reliable – and my preferred daily driver. Thanks to those of you who hate these little cars; you keep the price of parts down for me. The Jetta has been a nightmare – it’ll be the first to go and I’ll never ever own another German car. What a pile…

So what is Detroit going to do to cause me to want another car? They’ve got to improve their products a lot if they want to improve sales; their biggest competition is the cars they’ve already sold.

By: mel23

mel23 — Tue, 06 May 2008 21:26:13 +0000

Too bad we don’t have some kind of time machine that would let us play this thing back with different decisions made to see what would have happened. York was hammering GM to sell stuff and was harping on cash.

By: mad scientist

mad scientist — Tue, 06 May 2008 16:34:17 +0000

If more Americans were patriotic and did their American car buying duties, GM and Chrysler and GMAC wouldn’t be the poor victims that they are. :-)

Ahem, ahem, if GM (and Chrysler) had been more patriotic and not screwed so many American buyers (the real victims)for so many years with their lousy cars, they wouldn’t be in this situation….

By: Sherman Lin

Sherman Lin — Tue, 06 May 2008 16:27:30 +0000

Hmmm I wonder who wants to lend another 600 million into a home mortgage finance company with bad loans? I think this is going to be what pushes GM into Ch11. Its not the cars or the branding or the UAW (although they all contributed long term) but the mountain of debt, the lack of cash flow and the inability to sell or hock off anything has finally reached its inevitable conclusion.

Not as glamorous or interesting as to talk about the cars or the branding or the UAW but this may be the truth that GM cannot fib its way out of.

By: Robert Farago

Robert Farago — Tue, 06 May 2008 14:53:20 +0000

omnivore :

Does “GM’s former cas-cow” mean cash-cow or gas-cow? Could go either way, methinks.

Text amended. Long day. And it ain't over yet…

By: omnivore

omnivore — Tue, 06 May 2008 14:24:30 +0000

Does “GM’s former cas-cow” mean cash-cow or gas-cow? Could go either way, methinks.

By: dastanley

dastanley — Tue, 06 May 2008 14:23:16 +0000

C’mon, GM and Chrysler have nothing to do with this. It’s the bad economy, high housing prices, food prices, oil prices, etc. GMs and Chrysler’s upper management are doing a fantastic job! Their salaries and golden parachutes reflect their performance.

If more Americans were patriotic and did their American car buying duties, GM and Chrysler and GMAC wouldn’t be the poor victims that they are. :-)